Providing for congressional disapproval under chapter 8 of title 5, United States Code, of the rule submitted by the Internal Revenue Service relating to Estate Tax Closing Letter User Fee Update.
Summary
This document is a joint resolution introduced in the Senate disapproving a rule submitted by the Internal Revenue Service (IRS) regarding an update to the user fee for estate tax closing letters. The resolution seeks to nullify the IRS rule, which is published in the Federal Register (90 Fed. Reg. 21410). The resolution invokes congressional authority under chapter 8 of title 5, United States Code, to review and disapprove agency rules.
The resolution aims to prevent the updated user fee from taking effect. This action reflects a congressional check on the executive branch's regulatory actions.
By disapproving the rule, Congress is asserting its oversight role in ensuring that agency regulations align with its legislative intent and do not impose undue burdens on citizens.
Expected Effects
If the resolution passes, the IRS rule regarding the Estate Tax Closing Letter User Fee Update will not have any legal effect. This means the existing fee structure, if any, would remain in place, or the IRS would need to propose a new rule subject to congressional review.
Taxpayers potentially affected by the estate tax closing letter user fee would not be subject to the updated fee. The IRS would be prevented from implementing the changes outlined in the disapproved rule.
This action could lead to further scrutiny of IRS rulemaking processes and potentially influence future agency decisions regarding user fees.
Potential Benefits
- Prevents a potential increase in fees for estate tax closing letters, benefiting individuals and families dealing with estate matters.
- Reinforces congressional oversight of executive branch agencies and their regulatory actions.
- Could lead to a more transparent and accountable rulemaking process within the IRS.
- May encourage the IRS to consider the financial impact of user fees on taxpayers more carefully.
- Upholds the principle of checks and balances within the government.
Most Benefited Areas:
Potential Disadvantages
- Could disrupt the IRS's budget and operational plans if the user fee update was intended to cover specific costs.
- May create uncertainty for taxpayers and practitioners who were anticipating the updated fee structure.
- Could be perceived as hindering the IRS's ability to efficiently administer estate tax matters.
- Might set a precedent for congressional intervention in routine agency updates, potentially politicizing the rulemaking process.
- Could lead to inefficiencies if Congress frequently intervenes in agency fee adjustments.
Constitutional Alignment
This resolution aligns with Article I, Section 1 of the US Constitution, which vests all legislative powers in Congress. Chapter 8 of Title 5, United States Code, provides a mechanism for congressional review of agency rules, reflecting Congress's power to oversee the executive branch. The resolution also aligns with the principle of checks and balances, ensuring that no single branch of government becomes too powerful.
Furthermore, the resolution does not appear to infringe upon any specific individual rights or liberties protected by the Constitution or its amendments. It primarily concerns a procedural matter related to agency rulemaking and congressional oversight.
However, the extent of congressional authority over agency rules is sometimes debated, and some may argue that excessive intervention could impede the executive branch's ability to implement laws effectively.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).